Technology application—a new trend in HR training ahead of CPTPP

Vietnam needs to address the growing demand for skilled workforce For years, a shortfall of skilled workforce has remained a thorny issue for both domestic and FIEs in Vietnam. As shown in the Provincial Competitiveness Index (PCI) 2017, only 31 per cent of nearly 1,800 FIEs are satisfied with the labour quality in Vietnam. The Vietnamese workforce over the age of 15 is 53.5 million strong, but only 9.99 million people or 18.6 per cent are skilled workers, meaning unskilled workers make up 81.4 per cent of the country’s total workforce. The local workforce also lacks many necessary skills, like problem solving, IT, especially foreign language skills, and adaptability. Moreover, the levels of innovation and creativity among skilled local employees are still low. Looking at the competitiveness of businesses in Vietnam, it is easy to see how low quality workforce bridles the GDP growth rate. Every year, Vietnam’s labour productivity increases by 3 per cent on average, while GDP expands at around 5 per cent. According to the General Statistics Office, Vietnam’s labour productivity is even lower than Laos and Cambodia, and just one tenth of Singapore. In 2017, Vietnam’s labour productivity was estimated at VND93.2 million ($4,159) per labourer. This figure is equal to 7 per cent of Singapore and 17.6 per cent of Malaysia. Singapore and Malaysia are also two member countries of the CPTPP. As enterprises continue to expand business and investment activities in the country, demand for qualified manpower grows more significantly than ever. However, improving… [Read full story]